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What Does an Executor Do?
In every estate planning file I discuss with my client who they will name as their Executor. I often receive, in a quick answer, the name of the client's oldest child. It's as if being named as Executor is a birthright and a privilege. Some clients seem to believe that they would insult their oldest child by naming someone else Executor. I think choosing an executor should take a different route.
To clarify some terminology, if your estate is being administered pursuant to the terms of your Will, then the person in charge is your "Executor." The same duties would be handled by your "Trustee" or "Successor Trustee" if your estate plan included a trust, and your assets were placed in the trust during your lifetime. If you did not have a Will, or the person you named as Executor was not available, then your estate is managed by an "Administrator." Finally, in some estates an Executor and a Trustee will share these duties.
Returning to the question at hand: What does an Executor do, and whom should I name to handle this job? When you review this partial list of Executor duties, you may see that choosing your executor should result from a determination that the talents, experience, personality, and available time of the named person are what suit him to this job- and not his birth order.
Finally, you should also consider naming a corporate trustee. The officers in the trust department at certain banks do this every day - not just once in a lifetime when a family member dies. They charge fees for their services, but their experience makes them particularly efficient. A recent client told me that he did not want to burden any of his children with this job, although the estate was not large or complicated. He was sure that a corporate trustee would be the best successor trustee for his estate.
Common Executor duties:
1. Arrange proper care for children or dependents, and pets.
2. Arrange for anatomical gift if indicated by the decedent.
3. Make appropriate funeral arrangements. Obtain death certificates from the funeral director.
4. Gather keys. Safe deposit boxes may house important papers. (A Small Estate Affidavit can sometimes be used to access a safe deposit box.)
5. Secure real estate and other property, to prevent potential theft, damage or waste.
6. Make immediate arrangements to preserve perishable property, secure the house, and manage business concerns.
7. Notify the post office of forwarding information. This can be done online.
8. Contact the Social Security Administration and notify them of the death. Return benefits for periods after death.
9. Locate the will, trust, and other documents and consider meeting with an estate attorney.
10. File the Will with the Probate clerk within 30 days of death. Get a few certified copies.
11. Determine if probate is necessary or if assets can be transferred with a Small Estate Affidavit.
12. Locate online accounts and passwords. Determine if you, as personal fiduciary, may access these accounts.
13. Go through decedent's correspondence and other documents, searching for assets and obligations.
14. Search for cash, bonds, securities, pass books, bank and account statements, valuables and other assets. Thoroughly check all items before discarding anything.
15. Review insurance policies. Notify insurance companies of the death. Make claims for death benefits.
16. Obtain details regarding decedent's businesses; Pay any wages owed to employees.
17. File decedent's final tax return.
18. Obtain names and addresses of heirs and beneficiaries. Determine whether any are disabled or in military service.
19. Obtain copies of any prenuptial agreement or divorce decree.
20. Make an inventory of real and personal property and all accounts. Consider if date of death valuation will be required.
21. List all of decedent's creditors and claims.
22. Determine whether decedent held property in another state and, if so, how to proceed.
23. Check with the decedent's employer for unpaid wages or benefits.
24. Terminate utilities and service contracts if appropriate.
25. Obtain and destroy all credit cards and close all credit accounts.
26. Check outstanding contracts and leases to see whether any action needs to be taken.
27. Claim any burial benefit from social security or veteran's administration.
28. If the estate has assets, open an estate bank account. You will first need to get a tax i.d. number from the IRS.
29. Gather all assets and pay valid claims. Keep detailed records.
30. When all issues are concluded, get receipts from beneficiaries and make distributions.
To accomplish these duties your executor may need to open a probate proceeding. In your estate planning you can make your Executor's job easier by organizing this information for him!
Note: This column provides general information related to the law designed to help readers understand their own legal needs. This column does not provide legal advice. Please consult a lawyer if you want legal advice. No attorney-client or confidential relationship exists or will be formed between the reader and the author of this column.
What Does an Executor Do?
In every estate planning file I discuss with my client who they will name as their Executor. I often receive, in a quick answer, the name of the client's oldest child. It's as if being named as Executor is a birthright and a privilege. Some clients seem to believe that they would insult their oldest child by naming someone else Executor. I think choosing an executor should take a different route.
To clarify some terminology, if your estate is being administered pursuant to the terms of your Will, then the person in charge is your "Executor." The same duties would be handled by your "Trustee" or "Successor Trustee" if your estate plan included a trust, and your assets were placed in the trust during your lifetime. If you did not have a Will, or the person you named as Executor was not available, then your estate is managed by an "Administrator." Finally, in some estates an Executor and a Trustee will share these duties.
Returning to the question at hand: What does an Executor do, and whom should I name to handle this job? When you review this partial list of Executor duties, you may see that choosing your executor should result from a determination that the talents, experience, personality, and available time of the named person are what suit him to this job- and not his birth order.
Finally, you should also consider naming a corporate trustee. The officers in the trust department at certain banks do this every day - not just once in a lifetime when a family member dies. They charge fees for their services, but their experience makes them particularly efficient. A recent client told me that he did not want to burden any of his children with this job, although the estate was not large or complicated. He was sure that a corporate trustee would be the best successor trustee for his estate.
Common Executor duties:
1. Arrange proper care for children or dependents, and pets.
2. Arrange for anatomical gift if indicated by the decedent.
3. Make appropriate funeral arrangements. Obtain death certificates from the funeral director.
4. Gather keys. Safe deposit boxes may house important papers. (A Small Estate Affidavit can sometimes be used to access a safe deposit box.)
5. Secure real estate and other property, to prevent potential theft, damage or waste.
6. Make immediate arrangements to preserve perishable property, secure the house, and manage business concerns.
7. Notify the post office of forwarding information. This can be done online.
8. Contact the Social Security Administration and notify them of the death. Return benefits for periods after death.
9. Locate the will, trust, and other documents and consider meeting with an estate attorney.
10. File the Will with the Probate clerk within 30 days of death. Get a few certified copies.
11. Determine if probate is necessary or if assets can be transferred with a Small Estate Affidavit.
12. Locate online accounts and passwords. Determine if you, as personal fiduciary, may access these accounts.
13. Go through decedent's correspondence and other documents, searching for assets and obligations.
14. Search for cash, bonds, securities, pass books, bank and account statements, valuables and other assets. Thoroughly check all items before discarding anything.
15. Review insurance policies. Notify insurance companies of the death. Make claims for death benefits.
16. Obtain details regarding decedent's businesses; Pay any wages owed to employees.
17. File decedent's final tax return.
18. Obtain names and addresses of heirs and beneficiaries. Determine whether any are disabled or in military service.
19. Obtain copies of any prenuptial agreement or divorce decree.
20. Make an inventory of real and personal property and all accounts. Consider if date of death valuation will be required.
21. List all of decedent's creditors and claims.
22. Determine whether decedent held property in another state and, if so, how to proceed.
23. Check with the decedent's employer for unpaid wages or benefits.
24. Terminate utilities and service contracts if appropriate.
25. Obtain and destroy all credit cards and close all credit accounts.
26. Check outstanding contracts and leases to see whether any action needs to be taken.
27. Claim any burial benefit from social security or veteran's administration.
28. If the estate has assets, open an estate bank account. You will first need to get a tax i.d. number from the IRS.
29. Gather all assets and pay valid claims. Keep detailed records.
30. When all issues are concluded, get receipts from beneficiaries and make distributions.
To accomplish these duties your executor may need to open a probate proceeding. In your estate planning you can make your Executor's job easier by organizing this information for him!
Note: This column provides general information related to the law designed to help readers understand their own legal needs. This column does not provide legal advice. Please consult a lawyer if you want legal advice. No attorney-client or confidential relationship exists or will be formed between the reader and the author of this column.
